McLeod Russel India Limited Secures One Time Settlement, Approves MD Reappointment, and Executes MoU for Asset Disposal
McLeod Russel India Limited, during a Board of Directors meeting held on May 15, 2026, approved several material corporate actions concerning debt restructuring, management, and asset disposal.The Board accepted a One Time Settlement (OTS) sanction from J.C. Flowers Asset Reconstruction Private Limited (JCF ARC), which acts as the trustee of JCF YES Trust 2022-23/10. This settlement addresses outstanding dues, representing approximately 20.58% of the total Institutional Loan value as of December 31, 2025.
The total settlement value for the OTS with JCF ARC is Rs. 150 crores, payable in tranches by June 30, 2027. This settlement is for outstanding dues related to facilities previously sanctioned by YES Bank Limited and assigned to JCF ARC.
The Company had previously obtained a sanction letter from National Asset Reconstruction Company Ltd (NARCL) on April 9, 2026, covering approximately 75.02% of the debt restructuring.
A One Time Settlement concerning the outstanding dues to JCF ARC is detailed below:
| Particulars | Key Details |
|---|---|
| Outstanding Dues (as of 31 March, 2026) | Rs. 749.80 crore |
| OTS Sanction Received | JCF ARC, vide letter dated May 13, 2026 |
| Aggregate Settlement Amount | Rs. 150 crores |
| Payment Deadline | Tranches payable by June 30, 2027 |
Management Appointment and Asset Disposal
The Board also approved the re-appointment of Mr Aditya Khaitan (DIN: 00023788) as a Managing Director for a further period of three years, effective from May 17, 2026. Mr. Khaitan has extensive experience in the Tea Industry, including serving as the Chairman of the Indian Tea Association for three consecutive years.Furthermore, the Company approved the execution of a Memorandum of Understanding (MoU) for the proposed disposal of assets belonging to the Mathura Tea Estates. This disposal is intended for part-payment of debt, utilizing the terms set forth in the sanction letter from National Asset Reconstruction Company Limited acting through India Debt Resolution Company Limited.
The MoU was entered into with the prospective buyer for the Mathura Tea Estates, located in West Bengal.
Mathura Tea Estates Transaction Details
The proposed asset sale includes the following material details:| Particulars | Details |
|---|---|
| Turnover Contribution (FY 2024-25) | Rs. 2700.04 Lakhs (3.00% of total turnover) |
| MoU Date | May 15, 2026 |
| Expected Completion Date | July 31, 2026, subject to necessary approvals |
| Consideration Received | Rs. 34,19,73,395/- (subject to GST and TDS) |
| Buyer | Mr. Jayanta Kumar Sanyal, (PAN: ATFPS1239R), located at 44, Sashipada Institute Lane, Baranagar, Kolkata-700036. The buyer is not associated with the promoter group. |
The transaction is confirmed not to constitute a Related Party Transaction. Additionally, the sale and disposal of the undertaking was approved by NARCL acting through IDRCL vide its Sanction Letter dated April 2, 2026.
MCLEODRUSS Stock Price Movement
Today, shares of Mcleod Russel India Limited edged higher, settling at ₹62.64 after gaining 4.84%. The stock was traded on a notable volume of 903,965 shares during the session.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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